Question

The Law of Demand shows the relationship between ______.

Options

• income and price

• price and quantity demanded

• income and quantity demanded

• quanitity demanded and quantity supplied

Answer 1

The Law of Demand shows the relationship between price and quantity demanded.

Explanation:

The Law of Demand shows the relationship between the price of a good or service and the quantity demanded by consumers. According to the law, all else being equal, as the price of a good decreases, the quantity demanded increases, and vice versa.